It is unnerving to see inflation on the rise again, but an uptick to 2.2% is better than anticipated. No need for panic stations yet.”
The road to recovery was always going to have a few bumps along the way and so today's numbers are not a cause to panic. I don’t see a reversal of the recent rate reductions from lenders as a result of this morning's numbers.”
The EY ITEM Club expects the MPC will vote to keep Bank Rate at 5 percent in September, before delivering another 25bps cut in November,
Inflation ticked up a little in July as although domestic energy costs fell, they fell by less than a year ago
The new Government is under no illusion as to the scale of the challenge we have inherited, with many families still struggling with the cost of living
A dovish turn” in inflation data “should provide a degree of comfort for MPC members as the Bank’s own forecasts earlier this month pointed to a sharper uptick,